“A court’s jurisdiction flows from either the Constitution or legislation or both. Thus a court of law can only exercise jurisdiction as conferred by the Constitution or other written law. It cannot arrogate itself jurisdiction exceeding that which is conferred upon it by law. Where the Constitution exhaustively provides for the jurisdiction of a court of law, the court must operate within the constitutional limits. It cannot expand its jurisdiction through judicial craft or innovation. This was held in the case Samuel Kamau Macharia & Another vs. Kenya Commercial Bank & 2Others, Supreme Court Civil Appeal (Application) No. 2 of 2011
The jurisdiction of the Small Claims Court is set out in section 12 of the Small Claims Court Act. It provides for the following nature of claims and pecuniary jurisdiction:
a) The pecuniary jurisdiction of this court is Kshs 1,000,000/=
b) a contract for sale and supply of goods or services
c) a contract relating to money held and received
d) liability in tort in respect of loss or damage caused to any property or for the delivery or recovery of movable property;
e) compensation for personal injuries
f) set-off and counterclaim under any contract
This Court does not have jurisdiction on certain matters as provided in section 13 which include;
a) Defamation, Libel, Slander, Malicious Prosecution
b) Dispute over a title to or Possession of Land,
c) Employment and Labour Relations.”
Here are key aspects of the jurisdiction of the Small Claims Court, supported by relevant case law:
1. Personal Injury Claims
o Case Law: Naomi Wanjiru Irungu v Francis Kimani Karanja H.C Civil Appeal No. E.037 of 2024,
o Summary: The appellant lodged a personal injury claim in Ruiru Small Claims Court and averred that the court had the prerequisite jurisdiction to adjudicate the matter. However, the respondent averred that it did not have the jurisdiction and it relied on the Ogwari v Hersi Civil Appeal 223 of 2022 where the High Court in Mombasa held that the Small Claims Court could not entertain unquantifiable claims Further, it was relied that the Small Claims Court purpose was to handle simple matters and not complex matters where strict proof is necessary.
o Key Holding: The court held that the decision in Ogwari vs Hersi (2023) KEHC 20111 (KLR) is not binding on this court as the decision was rendered in Mombasa High Court which is a court of concurrent jurisdiction to this court. Herein being Thika High Court . Hon. F. Muchemi thus opined that section 12 (1) (d) was not unconstitutional. The Small Claims Court being established aimed to expeditiously dispose of cases and provide a platform for litigants to access justice . Thus the Small Claims Court has jurisdiction to hear and determine cases for compensation for injuries provided that the compensation shall be within its pecuniary jurisdiction of the court.
2. Declaratory Suits
• Case Law: Kenya Orient Insurance Limited v Otieno (Civil Appeal E166 of 2023) [2024] KEHC 7637 (KLR) (25 June 2024) (Judgment)
o Summary: The respondent instituted a declaratory suit against the appellant in the small claims court in Kisumu. It was brought under the Insurance (Motor Vehicles Third Party Risks) Act, seeking to have the appellant, an insurance company settle the decree. The decree was for an award of damages of Kshs 467,490 entered against the Appellant’s insured by the appellant herein.
o Key Holding: The court looked into the issue of jurisdiction of the Small Claims Court jurisdiction in light of the declaratory suit and upheld that such claims are not provided for in the Small Claims Act.
3. Rental Claims
o Case Law: Christoffersen v Kavneet Kaur Sehmi t/a The Random Shop (Civil Appeal E036 of 2022) [2022] KEHC 14035 (KLR) (Commercial and Tax) (18 October 2022) (Judgment)
o Summary: The Small Claims Court dismissed the appellant’s claim seeking judgment of Kshs 100,000/= against the respondent on account of outstanding rent. For a claim to be brought before the Small claims court, it must fit the description of section 12(1) of the Small Claims Act. Counsel for the appellant argued that rent is a form of service, hence was in the purview of Section 12 (1) of the act .
o Key Holding: The court stated that rent has a specific and known meaning which does not extend to a contract for services. Extending the meaning of rent to the rubric of a contract for sale of goods and services would amount to expanding the court’s jurisdiction by craft or innovation. Thus it was concluded that a claim for rent does not fall within the sphere of “money held and received’’ as the landlord in a claim for rent arrears does not hold any money that is due to a tenant. Nor does a claim for rent give rise to tortious liability or a claim for compensation for injuries. The court therefore concluded that a claim for rent or rent arrears is outside the jurisdiction of the Small Claims Court and ought not to have been entertained.
4. Land Matters
o Case Law: Palms Resort Limited v Qureshi & 2 others (Civil Appeal E167 of 2022) [2023] KEHC 23644 (KLR) (16 October 2023) (Judgment)
o Summary: This is an appeal that emanated from the Small Claims Court in Mombasa . The primary issue was related to private land and contracts, choses in action or other instruments granting any enforceable interests in land. This is expressly excluded in from the Small Claims Court Act.
o Key Holding: The small claims court does not have jurisdiction to adjudicate such matters that is, jurisdiction ratione materiae.
Conclusion
For any matter to be filed in the Small Claims Court , it ought to meet the prerequisite jurisdiction laid down in the Act precisely in section 12. Thus, one cannot craft any pleading to fit the pecuniary jurisdiction yet the claim is one that has been exclusively ousted from the jurisdiction of the court.
Further, it is my opinion that there should be clarity in light of personal injury suits and declaratory suits being adjudicated in the Small Claims Court.
Prepared By:
PATRICKS LAW ASSOCIATES
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